There is a clear, undebatable shift towards SaaS, and even though building a powerful product is essential, it is merely the first step. While SaaS providers don’t have a crystal bowl to predict revenue, they have a secret weapon, pricing models. Indeed, the key to running successful SaaS companies is knowing how to correctly price your product. SaaS pricing is one of the core elements of business growth.
However, even if pricing is a vital leadership task, most Saas business owners spend only 6 hours determining their company’s pricing model. In one of the world’s fastest-growing and most competitive industries, 6 hours isn’t nearly enough to develop a coherent pricing strategy to ensure and sustain long-term business growth.
Lacking the focus to establish and further optimize your product’s SaaS pricing strategies could significantly diminish your chances of achieving a market takeover. Organized into three parts, our eBook will teach you everything you need to know about SaaS pricing models, giving you the tools you need to stay ahead of your competition.
Download your Download your FREE copy of our Mastering the Art of SaaS Pricing to gain more value and learn how you adopt a practical, sales-boosting pricing strategy for your product.
What’s Inside It?
Do you know how much customers are willing to pay for your services? Are you guessing your way to SaaS pricing strategies? Not sure if it will yield the results you hope?
Understanding the many SaaS pricing strategies is crucial whether you represent enterprise companies or are a SaaS start-up. That is why this SaaS pricing eBook is just for you.
It’s high time you developed your SaaS pricing model the correct way. Explore our insightful guide to SaaS pricing, learn to predict customer costs, and price your offer right. Learn insider advice from PayPro Global’s in-house experts on how to:
Determine the right value metric capable of extracting valuable data necessary to perform compelling SaaS pricing model optimizations.
Discover different pricing models and choose the right one for your SaaS company.
Adapt your SaaS pricing strategy to represent the actual value of your product.
Fine-tune your pricing page to present your pricing packages appealingly and convincingly.
Take the correct pricing decisions and apply psychological triggers that make the difference.
Could penetration pricing be right for you? Or would feature-based pricing be a more appropriate choice? Given the many major SaaS pricing models, like tiered or freemium pricing, you are left questioning the best pricing model for your business.
The truth is that a powerful pricing strategy is not a one-man show but a knowledgeable combination of multiple elements fitting your target market that ultimately drive the revenue growth many SaaS companies aim towards.
Figuring out if your pricing model should consider aspects like customer costs, premium features, multiple team members, or setting a fixed annual or monthly fee is all part of building a robust pricing strategy.
And what is great about monetization is that you don’t have to stick to one model. Use the freemium business model to gain attention and free users, and switch to usage pricing.
Try different pricing tiers or give the feature pricing model a chance. No matter how you decide to act, know that it’s in your best interest to put time and effort into developing a solid monetization plan. After all, how else will you be able to forecast revenue?
Understanding why it’s essential to focus and work your way to developing a powerful tactic are the first steps to success. Here are three reasons why putting in the effort to reach an efficient monetization strategy is worth it.
Gain a Competitive Advantage
With 73% of users holding SaaS solutions responsible for their business success, the industry is undoubtedly enjoying great popularity. This is making the competition levels go through the roof.
Optimizing your pricing means taking the time to research the market and providing your clients with an offer they cannot refuse. Correctly presenting your product within your industry segment is essential to obtaining success. Think about it. Your competition might apply per-feature pricing, but your customers might appreciate other pricing models. Unless you take the time to conduct thorough research, you won’t know what option is best for your SaaS business.
Increase Your Revenue
98% of most SaaS companies that have worked to improve and optimize their pricing strategy, making core changes, have earned positive results in increased sales. Of course, this means doing your market research, understanding how much your customers pay for your competitor’s products, and only making your own pricing decisions. By selecting the pricing model based on approach, you are correctly targeting your audience, as you are responding to their usage needs as far as your software is concerned.
Turn Pricing into A Better Customer Magnet
Choosing the right pricing strategy is key to revenue growth. While the focus on acquiring potential customers is stronger than ever in the eCommerce world, SaaS companies that have taken the time to fine-tune their pricing strategy have noticed faster and better results. As it turns out, an effective monetization strategy brings more value to a SaaS business than other tactics. You should know that it is four times more powerful at winning customers than several acquisition tactics and two times more efficient than retention tools. With your customer acquisition cost going down and interest in your SaaS product going up, you are winning.
We are your one-stop eCommerce solution, successfully unifying payment processing, complete subscription & billing administration, tax and fraud management, together with other innovative tools and robust systems designed to scale your business.
Being part of the SaaS & software market for almost two decades, we have gained the knowledge, experience, and expertise to help guide companies on their way to success and take the guesswork out of their growth.
Rely on our customer acquisition and retention insights and avoid making costly mistakes. Streamline your SaaS business’ road to revenue growth with PayPro Global’s team of dedicated experts & specialists.
Discover how you can master the art of Saas monetization.